We’ve got a unique distribution model . . .where all of the sales reps basically provide a 360service—not only hand delivering products and selling products, but also merchandising for them.
It’s not a coincidence that the company’s name is Servd Distribution. The entire operation rests on the concept of customer service.
“We’ve got a unique distribution model. It’s called a DSC distribution model, where all of the sales reps basically provide a 360 service—not only hand delivering products and selling products, but also merchandising for them,” explains Eric Recker, the company’s executive vice president. “In a very transactional world, things have changed dramatically over the course of the past 20, 30, 40 years, but the old-school mentality of servicing a customer and making sure they’re having a great experience is what we pride ourselves on.”
As the makers of Indacloud and Cream hemp wraps, Servd sells its internal brands across the nation but focuses its distribution efforts on the heartland. With one warehouse in Cincinnati, Ohio, and another in Madison, Wisconsin, Servd caters to retailers throughout the region with a Midwestern mix of modern technological know-how and people-first values.
“We’ve taught our sales reps very well,” Recker says. “The sale is important, but once the product is in the store, the customer selling the product is more important. We want to make sure we’re doing everything possible to have our product front and center. It’s displayed nicely—we have acrylic displays and other types of displays for certain products. We want everything presented the way we want it presented. That’s a very important piece of our process to ensure we can see success in our customer stores.”
While some distributors end service when a product is dropped off, Servd trains its people to work differently. 
“We’re very intentional on the sales reps that we hire,” Recker says. “We like to hire sales reps that have previously serviced the industry that we’re in. A lot of our sales reps come from Red Bull or PepsiCo—sales reps that are used to running a route. Their main role in a lot of those companies isn’t necessarily sales-first. It’s truly built around the customer experience, customer service, and merchandising of a store.”
Servd started as a CBD-based health and wellness company in March 2020, just as the COVID-19 pandemic emerged. Recker was there since the beginning, first as a consultant while he worked a day job in sports technology, then eventually as a full-time executive, overseeing sales and operations.
“We were quick to pivot, which I think as entrepreneurs, you have to be,” he says. “You have to react quickly—especially in a space that’s ever-changing. You’ve got to pivot very quickly. That’s one thing we’ve been able to do over the course of the past five years. And hey, we don’t have any outside funding coming in. It’s all been organically funded. A lot of our growth took us a little bit longer than we would’ve liked, but at the end of the day, we did it the right way. We carry no debt. It’s been an awesome experience to see.”
After getting its hands dirty in the CBD startup space, the company saw its model wasn’t sustainable. The industry was moving away from their expectations. So, they adjusted. Servd moved into distribution and began developing brands specifically for the smoke shop market.
“We actually started making our own products pretty quickly. We started out with a brand called Cloud Ace, and then we noticed a couple of copycats in the industry, so we pivoted and moved to IndicaCloud. Then we eventually rebranded—maybe two years ago—into IndaCloud.”
As the cannabis sector continues to reorient itself, Servd leans on the abilities that brought it early success. The company’s agile nature and far-sightedness continue to guide its direction five years on.
“The industry is constantly fighting regulation, so we consistently have to pivot on what kind of products we can sell and stay ahead of what the regulations are state by state,” Recker says. “Luckily, we have that local model in the Midwest where we’re able to really be up to speed on the states around us. But it takes quite a bit of work to stay up to date on states throughout the country because every day there are changes being made.”
The sale is important, but once the product is in the store, the customer selling the product is more important. We want to make sure we’re doing everything possible to have our product front and center . .
“We’ve also hired cannabis counsel,” he adds. “They really help us stay on top of the regulatory changes so that from a product perspective, we know that we’re compliant and we’re not selling products in states that can’t be sold. There’s a lot of that that goes on just because it changes very fast.”
Working with lawyers may not be everyone’s idea of a good time, but it’s an essential part of the business, Recker says. Keeping an ear close to the ground allows Servd to stay ahead of regulatory changes.
“It’s never going to stop, and a lot of the regulatory changes are going to be state by state,” he says. “In Ohio right now, we’re seeing the state looking at trying to regulate hemp products, which could affect stores, distributors, grocers. Whoever is carrying hemp-derived THC products currently they’re at risk of losing that business. Of course, in every state, lobbyists on the hemp side are working directly with distributo
rs and stores to ensure that doesn’t happen.”
“And in full transparency, we are 100% okay with fair regulation. We do things the right way. All of our products, we have [Certificates of Analysis] on. If we get a product back from the manufacturer that’s testing hot or not up to our standards, we throw that product away and start fresh. We’re not going to bring a product to market that isn’t up to our standards and isn’t 100% fully compliant.”
That’s good news for Ohio enthusiasts. This year, the company plans to expand its operations by launching two Indacloud cannabis dispensaries in Cincinnati.
Check out some of Indacloud’s products on our Product Spotlights page!
